As we approach the close of another year, we want to take a moment to update you on important wealth planning and tax matters that may affect you in 2024 and into 2025. Specifically, the recent elections as well as the sunsetting of many provisions from the Tax Cuts and Jobs Act (TCJA) could influence tax planning and strategy in the year ahead. Given the uncertainty surrounding the repercussions of both, it’s critical to review your tax situation to ensure you’re making informed decisions.

Market volatility overshadowed stellar economic growth figures for Q3, as real GDP continues to be above trend. Job growth slowed, but weekly jobless claims hit a five-month low, suggesting the payroll data may not fully reflect the underlying strength of the labor market. Commodity markets reflected global economic uncertainty, with gold and oil prices rising. Meanwhile, China’s economic growth slowed, prompting the government to announce stimulus measures. Market performance was broadly negative, with yields rising substantially as investors question whether the Fed will need to slow down the pace of rate cuts.

When I ask wealth holders, “What is the purpose of your wealth?” a long, awkward silence usually follows, eventually giving way to a tentative response: “Stewardship—it’s my job to be a good steward of this wealth. I want my children to be good stewards of this wealth.” Stewardship has long been the gold standard for how we (wealth creators, professional advisors, and Western society) want family members to think about their relationship with their multigenerational financial wealth. On paper, stewardship checks all the right boxes: It is rooted in the noble idea of working together as a family, managing and preserving financial wealth responsibly for future generations. Stewardship is a powerful force for shifting the focus away from “me” towards “us” — from “what do I want now?” to “what is my role in leveraging these resources to move towards our shared goals?”